Canbelego JV – NSW

The Canbelego Project covers an area of approximately 40km² of copper perspective ground, located 45km south-east of Cobar and 5km south of the historic Mt Boppy Mine (produced ~500,000 oz at +10g/t Au) in Central NSW. Historic production from the Canbelego Copper mine – 10,000t of hand-picked ore grading 5% Cu reported production to 1920, mining stopped at water table (~80m).

The tenement (EL6105) covers a 10km long north-west trending magnetic complex with numerous historical copper workings hosted in variably altered sediments and volcanoclastics (this is surrounded by Helix’s 100% owned tenure, giving a total strike of approximately 30km of prospective strike – refer figure1).

Structural remobilisation is considered an important control on high-grade copper in these mineralised systems, termed CSA Mine-style base metal deposits. Copper mineralisation is developed as structurally controlled, sub-vertically plunging, semi-massive to massive sulphide shoots.

Canbelego Copper Deposit: A total of 39 holes for 8,080m RC & DDH have been drilled at Canbelego with a JORC2004 inferred 1.5Mt @ 1.2% Cu (Oxide and transition). Untested DHEM Conductors remain below the mine workings. A drill program targeting deeper CSA style structural repeats is warranted at the deposit.

Regional Targets: There are multiple copper in soil anomaly targets nearby, including Canbelego West, Canbelego South and Caballero. These prospects have only been sporadically drilled to date. Eg Caballero: 77m @ 0.32% Cu from 25m. incl. 7m @ 1.2% Cu from 73m down hole – follow-up of these target areas is required.

Further Auger soil programs and Airborne EM on regional prospects are being considered by the JV partners in the next field programs. The JV is targeting both copper and gold models on the Canbelego Project, consistent with the known surrounding deposits.

Canbelego Copper Resource (October 2010)

The total copper resource for the Canbelego Copper Deposit at a 0.3% Cu cut-off is classified according to the JORC Code (2004) as:

Helix is working closely with Aeris Resources, a major stake holder in the province as operator of the nearby Tritton Copper Mine, and successful discoverer and developer of numerous +1Mt copper deposits in the region.